Gates Touts Vista's Gaming Features at E3

(Los Angeles) At the Electronic Entertainment Expo, Microsoft Corp.
co-founder Bill Gates announced a cross-platform gaming service that integrates
games played on cell phones, Xbox 360 consoles and the upcoming Windows
Vista.

The "Live Anywhere" service will be available as part of Windows
Vista, Microsoft's next-generation PC OS. The consumer version is scheduled
for release early next year.

"It means that you have one online community," Gates said in
a news
conference. "This platform can really unleash developers to do amazing
new things."

The system would extend the company's existing Xbox Live service for
the Xbox 360 console into millions of Internet-enabled PCs and cellular
phones. No pricing information on the new service was announced.

In recent months, Microsoft has been pushing a number of online services
that it hopes will boost revenue as markets for its traditional software
become increasingly saturated. The company expects to make money off such
efforts through a mixture of subscription fees and advertising.

"The vision here is each platform plays its own role. We really
think we're in a unique position," Gates said Tuesday. "Microsoft
is probably the only company that can pull this off."

In a demonstration, an Xbox 360 gamer using Live Anywhere was able to
send an invitation to a friend on a PC. After the PC user agreed, the
two connected for a cross-platform online gun battle.

In another example, a race car's stats were modified on a cellular phone,
its appearance was edited in a paint program on the PC and then it was
raced on a track on the Xbox 360.

Microsoft said it has sold about 3.2 million Xbox 360s so far -- about
half of them are used online. By the time rivals Nintendo Co. and Sony
Corp. release their systems by the end of the year, Gates said Microsoft
should have a 10 million unit head start and a selection of 160 Xbox 360
games.

Microsoft Vice President Peter Moore said the early launch of Xbox 360
gives the company a huge advantage going forward, saying the company was
already on the "second generation of the next generation."

Live Anywhere highlighted a slew of announcements from Microsoft.

The company also said it would sell an HD-DVD player for high-definition
movies in time for the holidays, but it did not release a price. Also
announced was an Xbox Live Vision video camera, a wireless headset and
a wireless racing wheel available this fall.

Finally, Microsoft appeased anxious gamers who cheered following a demonstration
of the sci-fi shooter "Halo 3," due sometime in 2007.